Following his correct prediction of Apple‘s $2 trillion USD run, Gene Munster, founder of research-driven venture capital Loup Ventures, is now noting that the California-based tech company is on track to reach a $3 trillion USD market capitalization. With an 81 percent rise in 2020, Apple’s stock is now $133 USD per share with an approximate $2.3 trillion USD market cap.

Looking at trading at a price-to-earnings ratio of 35 for 2022 earnings estimates, Munster told CNBC that Apple can realistically reach $200 USD per share to hit a market cap of over $3 trillion USD. According to the tech investor, “It needs to be anchored in earnings. That’s the powerful piece about the Apple story.”

“It’s a year out there but I’m fast-forwarding the conversation to the middle and back half of next year, and we’ll be talking about 2022 at that point. If the market can sustain these 35 multiples — you know, we’re not talking about an Amazon-like multiple here — I think that that path is there.”

Breaking down Apple’s constant rise, Munster points out that the upward trend will continue as consumers continue to purchase hardware for remote work situations forced by COVID-19. He also believes that Apple could look to expand its business with a push into the service realm, like a subscription model for different hardware.

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